US producer prices soar by fastest rate in 9 months in March

These are pretty hot numbers, says CNBC's Rick Santelli breaking down the latest numbers from the Producer Price Index. And Steve Wieting, Citi Private Bank CIO, provides perspective on where he sees interest rates headed and why GDP could approach three percent.

U.S. producer prices recorded their largest increase in nine months in March as the cost of food and services rose, pointing to some pockets of inflation at the factory gate.

The Labor Department said on Friday its seasonally adjusted producer price index for final demand increased 0.5 percent last month after slipping 0.1 percent in February. That was the largest increase since June last year.

Economists polled by Reuters had forecast prices received by the nation's farms, factories and refineries edging up 0.1 percent last month.

Food prices jumped 1.1 percent, the largest increase since May, after rising 0.6 percent in February.